New records in the fixed income market – again

This introduction is yet another repeat of recent monthly reports: interest rates have reached yet another record low and are moving towards a level that would have been considered impossible not so long ago.

Sparinvest wins Lipper Awards

News

New records in the fixed income market – again

This introduction is yet another repeat of recent monthly reports: interest rates have reached yet another record low and are moving towards a level that would have been considered impossible not so long ago. In August, German 30-year bonds rates fell significantly and ended at -0.175 percent.

Nykredit obtains 75% of the shares in Sparinvest

In accordance with company announcement dated 1 March 2019, Nykredit entered into a conditional agreement with the owners behind Sparinvest Holdings SE for Nykredit to obtain 75% of the shares in Sparinvest. All conditions have now been met, and closing of the transaction has been completed.

New records in the interest rates – again

One-step forward, two steps back and one-step forward again

The second quarter of 2019 turned out to be a volatile one. It ended with moderate gains for developed market equities, and marginal losses in emerging markets but this was after something of a rollercoaster during the three months.

A Reluctant Rally

Early 2019 saw a strong rebound in equity markets. In the final quarter of 2018, the Fed’s rhetoric on rate hikes, concerns about global growth, and fears over the U.S.-China trade dispute sent most major asset classes down, but in the first quarter of 2019, a reversal took place as the same concerns faded.

Strongest quarter for shares in four years

Seen through the eyes of European investors, the first quarter of the year was the strongest in four years. MSCI World (in euros) delivered a return of 14.7 percent. March delivered a return of just under 3.0 percent. Risky asset classes like high-interest business bonds and EM government bonds also delivered a very high yield.

Most fixed income investors talk about engagement, but few actually influence their companies, the English language newswire Denmark based AMWatch wrote on Monday, in the light of a new whitepaper from Sparinvest called “Fixed Income engagement - where’s the impact?”

Sparinvest lands passive mandate with tailored sustainable approach

Under this headline the news site for asset managers AMWatch writes about at new passive mandate that Sparinvest is running for the Danish pension fund AP Pension. The mandate invests in sovereign bonds issued by emerging market of over EUR 536m.

Support from the prospect of a trade agreement

The stock market continued its positive trend in February. A significant factor behind the rise in share prices has been a friendlier tone between President Donald Trump and president Xi Jinping. At the end of February, Donald Trump even cancelled a planned raise in customs duties on Chinese goods in the expectation that the trade deal negotiations could soon be satisfactorily (for him, anyway) concluded.

Sparinvest continues its business in the UK

Funds currently authorized for distribution in the UK have to make use of a Temporary Permission Regime (TPR), where investment funds are authorized to continue new and existing regulated business within the scope of their current permissions in the UK for a limited period of time (currently planned for 3 years). Under the TPR, new sub-funds of Sparinvest can also be notified after BREXIT subject to certain conditions.

Nykredit and Sparinvest enter into conditional agreement to join forces

The worse the figures, the better

Despite January’s disappointing macroeconomic key figures, the stock market had its best month for years. The MSCI World (in euros) rose by 7.4 percent, which is the biggest monthly return since October 2015.

Key takeaways from the Factor Seminar

Significant price declines in the fourth quarter

Sentiment for equities reversed course in the fourth quarter of 2018. As recently as early October, MSCI World – an index of developed market equities – was at an all-time high, when measured in euros. Yet by the end of December, it had declined by over 12 percent.

Was Powell’s investor guarantee worthless?

In November 2018, the head of the American Central Bank, Jerome Powell, changed his tune when he indicated that we were closer to a natural interest rate than the market had first thought. In other words, the situation could be interpreted as Powell reacting to the stock market’s unease over the last months by easing up on any ambitions about overly tighten-ing monetary policy.

The Powell “put” is driving the market

"The head of the Fed, Jerome Powell, had previously stuck to the line that short-term interest rates in the US were "well below" the natural interest rate that characterises a neutral monetary policy. Due to sharply declining inflation expectations, Powell changed his rhetoric to short-term interest rates being "just below" the natural rate. This caused investors to breathe a sigh of relief and sent stocks up sharply in the last days of the month."

This is the headline given by the Danish financial news site AMWatch to news of the recent listing of Sparinvest - Value Bonds - Global Ethical High Yield on LGX - Luxembourg Green Exchange. This is the third Sparinvest fund Sparinvest to be listed on the ESG window of the green exchange.

Midterm elections can lift U.S. shares

Increased focus on responsible investing

At Sparinvest, our responsible investment approach is built on our conviction that environmental, social and governance opportunities and risks can have a major impact on long-term returns, and that it is therefore an essential part of our duty to clients to consider ESG issues in our investment processes.

Sparinvest only invests in sustainable credit bonds

New head of Denmarks Sparinvest looks to institutions to fuel growth

U.S. behind rising stocks

"Recently, a rather worrying phenomenon is characterising the USA in particular. There is a very great difference between the so-called ‘soft data’ (surveys, expectations etc.) and so-called ‘hard data’ (directly measurable developments). In other words, both ISM and PMI figures are very high at the moment in the USA in relation to what the hard data ought to be showing. Soft data includes investor confidence, and the S&P 500’s rocket-like rise makes it hard to blame investors for being optimistic."

New Chief Investment Officer

Sparinvest has appointed 48-year-old Swede Thomas Gunnarsson as new Chief Investment Officer. He is to replace Jørgen Søgaard-Andersen, who took over as Chief Executive Officer after Per Noesgaard on September 1st.

Negative headlines weigh heavy on Emerging Markets

Sparinvest appoints new CEO

After 22 years as CEO at Sparinvest Per Noesgaard resigns on September 1, 2018, where he will be succeeded by Jørgen Søgaard-Andersen, who has had title of both Deputy CEO and Investment Director since the turn of the year.

Trade war tweets are theatre thunder

Sparinvests recipe for improving PRI assessment scores

The recent published top marks to Sparinvest from UN PRI are noticed in the press. The English language newsletter AMWatch has interviewed Head of Responsible Investment at Sparinvest, Nichola Marshall, who explains what is behind the Sparinvest UN PRI A+ marks four years in a row.

Top marks for responsible investment approach

For the fourth year in a row, Sparinvest has received top marks (A+ for Strategy and Governance) from the Principles for Responsible Investment (PRI) for its approach to responsible investing and ESG integration.

The pendulum swung back and forth between fear and optimism

U.S. rates and political upheaval puts the euro under pressure

The euro is under pressure and has fallen by around 7.0 percent over the past few months. In 2017, the euro was able to defy the headwind caused by the yield spread and stand strong to the USA because of a surprisingly healthy economic development. However, the OECD’s leading indicator (CLI) has now turned downwards for the Eurozone and points towards a continued rapid deceleration towards the end of the year.

Sparinvest’s Value strategy celebrates its 20th anniversary

Danger signals point to underweight in shares

Over the course of May there were a series of danger signals that all point towards the same conclusion: for the first time in more than a year, readers of the monthly report are advised to be underweight shares in relation to their long-term target allocations, writes Sparinvest’s chief strategist, David Bakkegaard Karsbøl, in his June report.

Quarterly report Q1 2018 - Value Equities

Time to lower exposure to shares

"With the release of the OECD’s leading indicators at the start of March we saw that they had already peaked at the end of 2017. The publication led to a revision of previous values, which is why the peak can only be seen now," writes Chief Strategist at Sparinvest, David Bakkegaard Karsbøl, in his monthly comment for April.

Another Thomson Reuter Lipper Award to Sparinvest

Value investing - a contrarian bet within European equities

When investors structure and diversify their equity portfolios, a key reference is the value/growth style framework that has dominated the fund industry for decades. Once target allocations are set, investors then select the funds offering the most appropriate risk and reward characteristics.

Sparinvest wins Thomson Reuters Lipper Award

Trump’s steel tariffs haunt the financial market

"The leading indicators are approaching a peak and as the share markets have already started poorly in March, investors should prepare themselves for having to reduce their tactical allocations to shares by the start of April, said chief strategist at Sparinvest, David Bakkegaard Karsbøl, in his montly comment for March.

A 30 years downward trend in interest rates has been broken

"At the end of January, the markets were set for a perfect storm. A decades-long trend of falling interest rates and falling inflation – and inflation expectations – seemed to have ended, as the 10-year U.S. government bond yield broke the downward trend since 1987," says chief strategist at Sparinvest David Bakkegaard Karsbøl in his monthly comment for February.

A synchronised global recovery supports stocks

Significant positive effect of Trump's tax reform

“At the start of December, the US senate more or less passed President Trump’s tax reform, which was already approved by the House of Representatives. The two houses still need to agree on the finer details but these can be seen as minor issues. To all intents and purposes, we now know the main contents of the tax reform.”

Successful first year for Sparinvest Global Convertible Bond

Emerging Markets: Concentration and Diversification

Emerging market equities have been on a storming run over the past year. So far in 2017, the MSCI Emerging Markets index is up 22.4% in EUR, while the MSCI World – a gauge of developed market stocks – is up only 7%. After a multiyear period where EM stocks had underperformed, we see several drivers for their recent strength, and generally belief they remain an attractive asset class.

In Emerging Markets - If you like growth, buy value

Emerging market equities have been enjoying a bull run since early 2016, but medium to long-term drivers remain in place – and the universe continues to offer even more value for those prepared to be selective.

Economic tailwind for shares

"With a nice upward curve in the bonds market, a nominal (in other words, including inflation) BNP growth of 4.1 percent and a strong growth in the leading indicators from both the OECD and the Conference Board, it comes as no surprise that the US stock market is reaching new heights almost on a weekly basis," writes Chief Strategist at Sparinvest, David Bakkegaard Karsbøl, in his latest monthly comment for November.

Market conditions could favor value investing again

Value investing has been declared dead and has come back alive several times over the last 20 years. The past couple of years though, markets have shown that, when interest rates move slightly upwards, this fuels an outperformance in value stocks.

Good progress in engagements goals

This quarter we have made good progress towards our engagement goals with two portfolio companies. The team had a successful and very productive call with the company that has been undergoing remediation after a verified failure of governance norms related to bribery and corruption.

Plenty to be happy about

Value resurrection on pause, but for how long?

Value investing has had a tough decade of underperformance. This seems to have led many investors to ignore the extensive research showing how value investing outperforms the market over longer time horizons, and today many are under-allocated to value stocks.

Sparinvest to host its fourth Nordic Investment Managers Forum

On October 26, Sparinvest, Danske Invest, DNB Asset Management, Jyske Bank and SKAGEN will be hosting the fourth Nordic Investment Managers Forum. The event will take place in Luxembourg where key managers from leading Nordic asset management companies will discuss their view on important market trends and other investment topics.

The outlook for Europe is better than for US

Stay in shares – but don’t increase risk

The macro-economic development also shows that one should continue to have an overweight in risk-heavy actives. However, investors should be aware that the imminent phase shift means it is unwise to incur increased risk at the present time.

A phase shift for the OECD leading indicators?

“In the short-term we are not facing a severe decline in the so-called Composite Leading Indicator (CLI), which measures the future state of the economy, and in my opinion an imminent phase shift will be relatively short-lived – if it ever comes.”

Investing in short dated bonds is attractive

A possible economic slowdown will be short-term

In the last monthly comment, I used the starting point of the OECD area’s leading indicators to describe how the global economy had moved into a new phase of the trade cycle (expansion), as well as how this phase has historically favored high-risk active classes.

Economic trends support stocks

Rising rates on the menu

The first quarter of 2017 was a very strong quarter for credit investors. All our credit products performed well and so did Emerging Market Debt. With the exception of market weakness in March, which again turned out to be a dip to buy, markets were strong. Our global strategies were flat to slightly ahead of their benchmarks and our emerging market strategies lagged their benchmarks.

Favorable environment for value investing

2016 was a decent year for equity returns, and this continued in the first quarter of 2017. Developed markets rose almost 5%, with Europe slightly outperforming the US, and Japan slightly weaker. Emerging Markets led the way, partly thanks to their attractive valuations.

Stocks believe in Trump - bonds are sceptical

Are stocks expensive? It’s time to look under the bonnet

“At times like this, one can read articles on how expensive the stock market is. Even comparisons with 1929 and 2007 are made which, however, seems a bit farfetched,” writes regional director at Sparinvest Karsten Løngaard that were invited to contribute with a comment to the Luxembourg based financial magazine AGEFI.

Maintain overweight in stocks, so far

In economic terms, 2014 through 2016 was a relatively uninspired period. Growth in the US and Europa never dropped into negatives, although it sometimes felt that way. Instead it was generally dull and waning, and manifested itself in the decline of leading indicators, long-term interest rates, inflation and earnings growth, writes chief strategist David Bakkegaard Karsbøl in his latest monthly comment.

Strong quarter for value

The last quarter of 2016 was without doubt eventful. Trump won the race to become the next president of the USA, that itself was not a surprise given the close odds for quite some time, but what most investors did not expect was the market reaction to his win.

Monthly comment: Optimism despite insecurity about Trump

In January, optimism about the US elections in November continued. The MSCI World (EUR) saw a return of 0%, but this also covers a large rise in the euro against the dollar (see more below) of 2.5%. Long-term interest rates continued their upward trend from mid 2016, and German 10-year interest rates are now threatening to break above 0.5%. At the end of January, US 10-year federal interest rates are roughly unchanged at 2.5%.

Outperformance through wise management

The Swedish business magazine "Privata Affärer" has chosen Sparinvest Ethical Emerging Markets Value as 2016 Emerging Markets Fund of the Year based on its ability to select shares of undervalued companies.

Strong quarter for value

Monthly comment: High growth in 2017

When we look at the year it seems likely the US will experience higher growth in 2017 than in 2016, when it was 2.1% to 2.3%, chief strategist David Bakkegaard Karsbøl writes in his latest monthly comment.

Monthly comment: Election bolster the positive market trend

In many ways the US election was one of the biggest surprises in the market in years - both political and in the markets. While many had expected that a victory for Trump would spell uncertainty, the result has in stead given a positive input to the markets. This is especially seen for value and small cap shares, Sparinvest Chief Strategist David Bakkegaaard Karbøl writes in his monthly comment for December .

Sparinvest Investment Grade Value Bonds wins French award

Value is not dead

“People claimed the death of value investing in the early 1970s, the late 1980s, the late 1990s and most years since the financial crisis.” That was one of the points made by Jens Moestrup Rasmussen, chief portfolio manager at Sparinvest, when he spoke at the Nordic Investment Managers Forum.

Markets shrug at Trump victory

Fears of a Trump victory grew as election day drew closer, but in spite of this reactions to the news were close to insignificant when markets opened. “Business as usual” say three Sparinvest experts in a comment to the US election.

Clinton or Trump: Email scrutiny impacts markets

The renewed FBI interest in Clinton’s e-mails has sent Donald Trump back in the race for the Oval Office. See Sparinvest Chief Strategist David Bakkegaaard Karbøl’s assessment of how the most recent revelations impact financial markets.

If rates go up it can benefit small and overlooked stocks

If rates are starting to point upward, and money continues to leave the bond-proxies and the market cap-weighted indices, it will likely go into stocks that are smaller, or more overlooked, and attractively priced. We are well-positioned to take advantage of renewed investor interest in those kind of stocks. This is one of the main points in the latest quarterly report from our value shares team.

Nervousness before the American presidential election

The stock market is nervous in the month before the American presidential election. In less than three trading days the VIX rose from under 12 to over 20 at the start of September. This was presumably related to insecurity in connection with the FED’s interest rate decision in September but the rise would probably not have been so extreme if there had not been a looming presidential election.

New Chairman for Sparinvest SICAV

Positive signs for Ethical Emerging Market Value

“It has been a difficult period for Emerging Market equities over the last few years, with GDP growth in these countries slowing compared to developed markets”, says David Orr, Senior Portfolio manager at Sparinvest, in an interview about the fund Sparinvest Ethical Emerging Market Value.

What should Japanese companies expect from engagement with responsible investors?

In recent years, Japan has seen a reform agenda which includes the introduction of a clear Corporate Governance Code. This highlights to listed companies the importance of long-term value creation and healthy dialogue with their shareholders. Meanwhile, the growing Responsible Investment movement means increasing numbers of investors are reaching out to companies to engage on ESG issues.

Sparinvest fund renews LuxFLAG ESG Label

Sparinvest is delighted to have been successful in renewing its LuxFLAG ESG Label for the fund Sparinvest SICAV – Ethical Global Value and in getting approval on first application for an ESG Label for Sparinvest SICAV – Ethical Emerging Markets Value, one of the first Emerging Markets funds to obtain such a label.

Low volatility for August – the calm before the storm?

New Chief Sales Officer in Sparinvest

Jacob Nordby Christensen, 45 years, will from today be Chief Sales Officer of Sparinvest. He replaces Peter Møller Lassen, who resigns by mutual agreement with the Board of Directors and Executive Management. The resignation happens because of disagreement on the execution of Sparinvest's 2018 strategy.

The stock markets recovered after Brexit

High PRI score to Sparinvest

For the second year in a row, the PRI Assessment Report gave Sparinvest an A+ score for our overarching approach to re- sponsible investment. We understand that only 15% of PRI signatories achieved this score.

Brexit and Bregret

A month dominated by Brexit ended relatively well as the initial Brexit shock slowly abated and stocks rebounded to pre-Brexit levels. While financial markets are likely to remain volatile for some time due to political turmoil, they also offer interesting opportunities across the board for value investors.

Immediate and dramatic reaction to the British EU referendum

Value Bonds 2019 - 50/50 to be closed for subscriptions

The Board of directors of Sparinvest SICAV has decided to close for subscriptions in the sub-fund Sparinvest - Value Bonds 2019 - 50/50 from 1 July 2016 in order to protect the interest of the existing shareholders.

NTT reflects on 'extremely constructive' dialogue with Sparinvest

Indicators points towards overweight in equities – for now

The deceleration in US industrial production has now ended, and according to our models we are likely to be facing the greatest improvement in the growth of US industrial production for several years in the second half of 2016.

Drop in stock prices after Brexit can be a buying opportunity

Recovery after a tough start

Q1 2016 Letter to Shareholders - Value Equity:It’s been a volatile start to the year. Many questions remain, and such periods of uncertainty are never relaxing. The world is still working to find a foothold for growth and inflation. We are encouraged by the rally in February and March, and by the increased levels of M&A activity that our holdings have experienced lately.

Positive surprises in the US - Including the labour market

30 % increase in oil price is good for the market

The month of February has seen optimism return to the markets. Shares have returned from their bombed out posi-tion at the beginning of the month, and the high-yield market has finally also got its act together and reduced credit spreads. What looked like a high-risk situation for the financial system back in January now appears to be quietly settling down.

No hard landing in China

Chief Strategist at Sparinvest, David Bakkegaard Karsbøl, comments on the developments in the financial markets with a particular focus on China. He does not believe a hard landing in China and recommends that investors slowly starts to buy up shares.

Bent Sørensen joins Sparinvest as new Head of Communications

Why Engage?

Head of Responsible Investment, Nichola Marshall, explains Sparinvest’s engagement policy and approach, and gives an example of a recent engagement with a portfolio company. She also considers forthcoming ESG ratings and different carbon footprinting metrics.

Sparinvest monitors German lawsuit

A German lawsuit, claiming that shares were sold too cheap when Deutsche Bank acquired the company Deutsche Postbank from Deutsche Post in 2010, is currently taking place in the Cologne appeal court. The outcome of the case is uncertain, but in the event that the plaintiff’s claim is approved by the court, a number of Sparinvest SICAV sub-funds can potentially gain from the lawsuit, being former Postbank shareholders.

Letter to Shareholders Value Equity Q4 2015

The last quarter of 2015 ended up being a good one. Markets rebounded strongly from September lows. Over the full year, developed markets delivered strongly positive returns, while emerging markets had somewhat negative returns.

Monthly economic report: Further monetary easing in Europe?

Letter to Shareholders Value Bonds Q3 2015

“It is at times of stress that bottom-up investors can take advantage of the opportunities available, so we are very excited about the current environment when looking to deploy our built-up cash balances.”

Letter to Shareholders Value Equity Q3 2015

‘Correction or Crisis?’, ‘Doomsday or Opportunity?’ are the questions posed in our Letter to Shareholders after global stock markets registered their worst quarterly performance in four years. As China struggles to mould a new model economy and the Fed hesitates on interest rate hikes, volatility and investor uncertainty have peaked again – arguably creating the perfect bargain-hunting conditions for the value investor.

Monthly comment for September 2015

After the extreme volatility of August, September was certain to be a calmer month, but the market is still characterized by fear, and although the VIX is declining, it is still significantly higher than at the beginning of August.

New nominee for the shareholders in Denmark

As from 1 October 2015, Jyske Bank A/S will take over the tasks as Nominee for the shareholders in Denmark, as the Agreement with Nykredit Bank A/S was terminated. Jyske Bank A/S was founded in Denmark in 1967.

Volatility across the board

After a period with little momentum in the stock market and increasingly poor macro data from China, the Chinese authorities' decision to devalue the Chinese Renminbi, by approximately 3% over two rounds, apparently triggered one of the biggest collapses in the market since 2008/9.

NAV suspended in corporate bond sub-funds in Sparinvest SICAV

Mergers

Chinese devaluation

The Chinese economy has in recent years been exposed to a weakening, which the authorities have not been able to stop in a satisfactory manner. According to Bloomberg’s monthly GDP tracker,China's growth is now down to approximately 6.63% on a yearly basis.

American monetary policy again in focus

After Greece's agreement at the beginning of July, the markets have begun to refocus on other, more significant issues. Read about recent developments in EU, the US and China in the monthly comment for July.

Letter to Shareholders Value Bonds Q2 2015

Sparinvest’s Value Bond strategies will continue to maximize returns by identifying and investing in smaller bond issues. But the portfolios will be more balanced from a liquidity perspective in order to minimize risks from crowded trades as well as reduce tracking error.

Letter to Shareholders Value Equity Q2 2015

Q2 was rather downbeat after the peaks of Q1. However, Sparinvest’s Value Equities team finds plenty to be positive about – including an outstanding reporting season for European companies, interest rate developments that should be benign to the value strategy, and an increase in value-enhancing transactions – especially in Japan.

Greek default no problem for Europe

So far, European politicians have responded to Syriza’s intransigence with a shrug. Greek GDP amounts to a mere 2 % of the total Eurozone GDP, meaning that the Greek issue should be relatively untroublesome for European debt markets.

Monthly comment for May 2015: Europe to offer positive surprises

The downward spiral in Europa can quickly be replaced by a positive trend. That is the assessment of Chief Strategist David Bakkegaard Karsbøl. In his monthly comment for May he highlights several indicators that may point to strengthened growth in Europe, capable of catching the relatively pessimistic financial markets by surprise. In addition to this, he also discusses the outlook for the US economy, among other things.

Read the Monthly Comment for April 2015

In his monthly comment for April, Chief Strategist David Bakkegaard Karsbøl offers his views on the current state of the global economy. Read how ECB’s quantitative easings impact European assets and find out why investors should keep an eye on developments in China and the US.

Letter to Shareholders Value Equity Q1 2015

After one of the best quarters ever for Sparinvest’s global value equity strategies, the team considers reasons for the rallies in the European and Japanese markets and highlights some of the benefits of active investment – including a focus on ESG risks - which passive investing is unable to offer.

Spring in Europe

In his Monthly Comment for March, David Bakkegaard Karsbøl looks at the continuing strengthening of European data. He also looks at the mixed figures from US, the influence of interest hikes on US stocks and the promising outlook for European shares.

The Greek can is kicked down the road - read the Monthly Comment for February

In his Monthly Economic Report for February, David Bakkegaard Karsbøl looks at the stand-off between Greece and the Troika, against a backdrop of otherwise improving Eurozone figures. He also compares the relative prospects of US and European shares, the likelihood of the DKK decoupling from the Euro, inflation expectations and recent developments for corporate bonds.

What is Active Ownership?

Nichola Marshall, Head of Responsible Investment at Sparinvest, describes aspects of the Group’s active ownership programme including exclusion policies, forms of engagement and the increasingly important concept of stewardship.

ECB delivers the goods – read the monthly comment for January

In the monthly comment for January, David Bakkegaard Karsbøl offers his views on an action-packed start to 2015 that saw elections in Greece and quantitative easing from the ECB. Read how both factors impact markets in Sparinvest’s latest update on the global economy.

Letter to Shareholders Value Bonds Q4 2014

“Factor-based investing [in corporates] is a strategic decision, and Sparinvest is convinced that the Value Bonds strategies will continue to generate long-term alpha through the market cycles to come.”

IMPORTANT NOTICE REGARDING CHANGE OF REGISTRAR AND TRANSFER AGENT FOR SPARINVEST SICAV

Read the Monthly Comment for December 2014

In his final monthly report for 2014, David Bakkegaard Karsbøl sees the potential for European economic growth to improve fairly rapidly from its current low point, with signs of improved competitiveness for European companies. Political events in Russia and Greece, however, give cause for concern. The US business cycle is reaching maturity with improvements in the housing market likely to fuel further consumption growth giving spill-over benefits for Europe.

HY bonds impacted by market volatility

Market volatility, declining oil prices and a drop in liquidity is currently impacting the performance of our corporate bond funds. This has led to the introduction of a swing price of 2% in certain funds. For a number of reasons, however, we expect markets to normalize in the beginning of 2015.

Read the Monthly Comment for November 2014

In the November Monthly Economic Report, David Bakkegaard Karsbøl predicts a period of stagnation for Europe. However there are sufficient growth-supporting factors at play for the region to avoid recession. By contrast, the picture in the US economy is one of ‘gradual overheating’ with the mood ‘optimistic bordering on the unrealistic’.

Letter to shareholders - Value Equities Q3 2014

“Hugging the benchmark pays off… so long as most people keep doing it. History has shown that such periods always come to an end. When that happens, the rewards for value investors can be swift and large.”

Read the Monthly Comment for October

Read how Chief Strategist David Bakkegaard Karsbøl sees the prospects for growth in Europe and interest rate hikes in the US. In addition to this, you can also read how deflation in Southern Europe may impact the economies in question.

Five stars for Balance

On the 3rd anniversary of its inception, Sparinvest’s blend fund, Balance, has received a maximum 5-Star Morningstar Rating™ for the 3-Year period to 30th September 2014. Balance is a well-diversified asset allocation fund, where investors get an even 50/50 split between bond and equity investments from different geographic regions and industries.

Read the August edition of the Monthly Comment

Read what the coming months might hold in store for the global financial markets in the August edition of the monthly report by Chief Strategist David Bakkegaard Karsbøl. Among other things, you can read why European equities still seem attractive in spite of dampening short-term growth prospects for Europe and why the upswing in the US seems to continue.

Value Bonds Quarterly Update

“One very important reason why there is not a bubble in corporate bonds is the fact the global default outlook is still good – i.e. defaults will probably stay around 2-3% p.a. for the next couple of years.”

Read the lastest Monthly comment by Sparinvest's Chief Strategist

In the latest edition of his monthly newsletter, Sparinvest’s Chief Strategist, David Bakkegaard Karsbøl reports on a maturing recovery with signs of recovery for both industrial production and the labour market..

Letter to Shareholders Value Equity Q2 2014

Read the latest Responible Investment Review

In the July edition of Sparinvest’s Responsible Investment Review, RI Director Jacob Nordby Christensen considers how value investment opportunities can crop up in controversial sectors such as mining, fertiliser production and nuclear power.

The recovery is a reality

Sparinvest’s Chief Strategist, David Bakkegaard Karsbøl, gives his views on the latest developments in the world economy in a monthly newsletter. June’s edition looks at – amongst other things – a ‘risk-on’ summer for equities, Yellen, the interest rate oracle, El Nino and Iraq - potential boosts to inflation, negative deposit rates in Europe and mixed figures from China.

Stock Markets hit new highs

Sparinvest’s Chief Strategist, David Bakkegaard Karsbøl, gives his views on the latest developments in the world economy in a monthly newsletter. May’s edition looks at – amongst other things – strong performance from global equities (even stronger from EM), the Russia stand-off, good data from the US, the negative spiral in China’s real estate market and European monetary policy.

Value Bonds Quarterly Update

Sparinvest wins a Morningstar International Fund Award in The Netherlands

We are pleased to announce that Sparinvest SICAV – Investment Grade Value Bonds EUR R has been awarded a Morningstar International Fund Award in The Netherlands in the category ‘Best EUR Corporate Bond Fund’.

Dividend Information 2013

‘What turmoil in Ukraine?’

​This is the question posed by David Bakkegaard Karsbøl in his latest monthly macro-economic comment for March. Why are markets are treating this Cold War-like conflict with such apparent calmness, while over-reacting to every new indication that China’s growth is slowing.

Market Comment on Emerging Market Corporate Bonds

The latest edition of Sparinvest’s EM newsletter for Corporate Bonds is now available. In it, we revisit the promising portfolio themes identified by the portfolio managers back in Autumn 2013, which are now being talked about with enthusiasm by market analysts.

Chief strategist David Bakkegaard Karsbøl’s view on the latest development in the world economy

Sparinvest S.A. appoints Richard Jacqué as new Managing Director

The asset management group Sparinvest, of Danish origin and headquartered in Luxembourg, announces changes to its top management in Luxembourg. Associate Director Richard Jacqué replaces Dirk Schulze as Managing Director of the Group’s Luxembourg unit, Sparinvest S.A.

Monthly Comment - Macro-economics

Sparinvest’s Chief strategist, David Bakkegaard Karsbøl, gives his views on the latest developments in the world economy in the monthly newsletter. January’s edition looks at – amongst other things – the impact of ‘tapering’, the gradual improvement in the global industrial cycle, fears about China’s credit boom and the relative attractions of different asset classes as we enter 2014.

Market Comment on Emerging Market Corporate Bonds

Three years ago, Sparinvest launched the Emerging Markets Corporate Value Bonds strategy, which quickly proved its worth. The flagship fund for the strategy has achieved 5 Morningstar stars and was instantly ranked number 1 with Morningstar for its 3-year performance as soon as it turned three.

Chief strategist David Bakkegaard Karsbøl’s view on the latest development in the world economy

We are delighted to introduce the first monthly comment by Sparinvest’s new chief strategist David Bakkegaard Karsbøl. On a monthly basis, he will offer Sparinvest’s view on movements in the global economy and political developments that may impact financial markets.

Letter to Shareholders Value Bonds Bonds Q3 2013

Letter to Shareholders Value Equity Q3 2013

Sparinvest launches maturity fund for high yield corporate bonds

Sparinvest now launches the fixed-income maturity fund High Yield Value Bonds Short Duration 2017, which invests in high yield corporate bonds with short maturities. The fund is an ideal buy and hold product, since it offers a fixed investment in return for a target interest rate of 6.5%-7.5%.

Letter to shareholders Value Bonds Q4 2012

Our macro-economic view is one of guarded optimism.We do not envisage steep recoveries occurring anywhere in the world, but we do see scope for the US and China to make gradual ‘middle-of-the-road’ recoveries, leading to slow improvement globally.

Letter to shareholders Value Equity Q4 2012

After more than four years of hunting for value in the wake of the global credit crisis, the portfolio of our Global Value Fund is – unsurprisingly – overweight in the most neglected and unpopular areas of the market, where we see the most compelling bargains.

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